Prime Minister Mark Carney has announced a substantial federal investment of $2.7 billion to bolster affordable housing measures in Toronto. The announcement, made on Wednesday, signals a significant commitment to tackling the city's escalating housing crisis. This funding will support the development of 18 new housing projects, projected to create more than 5,600 rental homes. Of these, nearly 2,000 units are earmarked as affordable or deeply affordable, offering much-needed relief to Torontonians struggling with high living costs.
The initiative aims to accelerate the construction of housing supply, with plans for over 4,500 homes to be under construction by the end of this year. The majority of the projects, nine in total, will be situated on city-owned lands across various Toronto districts, including downtown, Scarborough, and Etobicoke. This partnership approach, involving federal, provincial, and municipal levels of government, along with the private and non-profit sectors, is seen as crucial for addressing decades of insufficient housing development.
Carney highlighted that for years, Toronto has not built enough housing, leading to price increases driven by development charges, taxes, and rising construction costs. The new funding is intended to expedite the building process using modern methods and materials. The investment is being channeled through different federal programs, with a portion dedicated to projects on city-owned lands, ensuring a significant number of affordable units are developed. The broader context of Toronto's housing challenges includes an average rent for a one-bedroom apartment nearing $2,521, and a significant portion of households facing core housing need.
